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May 31, 2012

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Letter: Capitol hearings on gas prices were for show

Wednesday, May 2, 2001 | 9:01 a.m.

I listened recently to the House hearings on why gasoline was so high in the Western part of the United States. This was the biggest love fest I have ever witnessed among Congress, the department heads and the oil companies. There was no mention of the mergers of oil companies and the purchase of others that reduced the amount of competition in refining and distribution of oil.

As an example, Chevron purchased the Gulf Refinery at Port Arthur, Texas, a few years back. This refinery was a large refinery, which had an estimated capacity of refining 100,000 barrels of crude per day. It employed approximately 1,700 workers. Shortly after Chevron purchased this refinery they closed it down, dismantled the refinery and sold the equipment to foreign countries.

There was no mention that there has not been a new refinery built in this country in 50 years. Why? No mention of what happened to the Alaska crude that we were told would be consumed wholly within the United States. Why? What about the All American Pipe Line, built from Los Angeles and was to transport the Alaskan crude to other refining areas, and so far not a barrel of oil has been pumped through it. Why?

Also, why is gas in Salt Lake City some 20 to 30 cents cheaper than it is in Las Vegas? It does not cost this much to transport products through a pipeline. I feel this hearing was just a show for the public to give the appearance that Congress was truly interested in the problem. I say when election time comes, vote them all out of office.

RAYMOND L. BROWN

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